internship report
Chapter-I
Introduction
1.1 Background of field work report
It is reasonably simple exercise to identify a bank as an institution whose essential operation is to take deposit from the public and lend money. Bank accumulate a idle money from general public by providing attractive sound interest rate in their deposit and disburses the collected deposits as loan to business organization, industrial sector and needy people etc. so we can say that main task of commercial bank is to mobilize idle resources in productive areas by collecting it from scattered sources and generating profit. Thus, bank fulfills the investment requirement of savers with the credit needs of investors. In this way bank plays an imperative role in our economy by providing effective service efficiently towards the attainment of economic development.
1.2 Origin of Banking in Nepal
The term bank is derived from the Italian word `Banca ' which means bench. According to various economists in past stage, Italian people did monetary transactions on the bench so that bank word emerged. Bank is also known as 'Banquee" in French language.
Modern banking originated in medieval Italy, despite strong Christian prohibitions against usury according to the canon law. The 'Bank of Venice ' was established in Venice, Italy in 1157 AD as the first Banking institution in the world. The secondly banking institution namely 'The Bank of Barcelona ' and "The Bank of Genoa ' in 1401 AD and 1407 AD respectively. Where ' 'The Bank of England" of UK was established in 1694 AD as a joint stock bank and later on in 1844 AD. The bank of England became the first central bank of the world.
The history of banking dates backs to sixteenth century. However, in Nepal formal banking system was introduced only in November 1937 AD with the establishment of Nepal Bank LTD (NBL) which is regarded as pioneer institution of modern banking system and serves as a sole financial institution of country for nearly two decades.
Introduction
1.1 Background of field work report
It is reasonably simple exercise to identify a bank as an institution whose essential operation is to take deposit from the public and lend money. Bank accumulate a idle money from general public by providing attractive sound interest rate in their deposit and disburses the collected deposits as loan to business organization, industrial sector and needy people etc. so we can say that main task of commercial bank is to mobilize idle resources in productive areas by collecting it from scattered sources and generating profit. Thus, bank fulfills the investment requirement of savers with the credit needs of investors. In this way bank plays an imperative role in our economy by providing effective service efficiently towards the attainment of economic development.
1.2 Origin of Banking in Nepal
The term bank is derived from the Italian word `Banca ' which means bench. According to various economists in past stage, Italian people did monetary transactions on the bench so that bank word emerged. Bank is also known as 'Banquee" in French language.
Modern banking originated in medieval Italy, despite strong Christian prohibitions against usury according to the canon law. The 'Bank of Venice ' was established in Venice, Italy in 1157 AD as the first Banking institution in the world. The secondly banking institution namely 'The Bank of Barcelona ' and "The Bank of Genoa ' in 1401 AD and 1407 AD respectively. Where ' 'The Bank of England" of UK was established in 1694 AD as a joint stock bank and later on in 1844 AD. The bank of England became the first central bank of the world.
The history of banking dates backs to sixteenth century. However, in Nepal formal banking system was introduced only in November 1937 AD with the establishment of Nepal Bank LTD (NBL) which is regarded as pioneer institution of modern banking system and serves as a sole financial institution of country for nearly two decades.
Bibliography: Bedi, H. L. and V. K. Hardikar, 1986. Practical Banking Advances. Institute of Banking Studies, New Delhi. Business Policy and Strategic Management in Nepal, 2004 Edition by Govinda Ram Agrawal Chandler, L.V